The UK leads across Europe – both east and west – in terms of shopping centre refurbishments, according to a survey carried out by ICSC and PropertyEU for the second edition of their European Retail Atlas.
The UK leads across Europe – both east and west – in terms of shopping centre refurbishments, according to a survey carried out by ICSC and PropertyEU for the second edition of their European Retail Atlas.
While the bulk of new pipeline projects is concentrated in the east, it is the mature countries of western Europe that lead the ranking for refurbishment including redevelopments and extensions of existing malls.
The survey found that the UK is well ahead in this category with 1.2 million m2 recorded over the three-year period between 2011-2013. This is more than a fifth – or 21% – of the total 7.6 million m2 recorded for the whole of Europe – both east and west. Germany and France rank second and third with 896,000 m2 and 870,000 m2 respectively.
‘The figures clearly indicate that the mature countries of western and southern Europe are entering into a new phase of the retail evolution as refurbishment becomes the new watchword,’ noted Petra Kooijman, head of research at PropertyEU. ‘Pipelines for new developments are decreasing in western Europe in particular, but the potential for refurbishment is enormous for both developers and investors.’
The findings are corroborated by a recent report by Bouwfonds Investment Management entitled ‘Refurbishment – the way forward in European “bricks-and-mortar” retailing’. ‘Demand for physical retail space is stabilising but much of the existing Retail stock in many mature markets is outdated and looks its age,’ the report said.
Get the latest data and expert opinion on the key trends driving the European shopping centre sector. European Retail Atlas will be previewed at the MAPIC retail real estate fair in Cannes from 19-21 November.
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